zenda, a financial app for families, raises $9.4 million in an oversubscribed seed round. STV, COTU, Global Founders Capital, and VentureSouq participated in the funding round.
The funding would be utilised to develop new products and expand the Indian market.
zenda currently addresses issues with school fee payment, specifically the lack of convenience and flexibility in payment alternatives for parents and poor payment collection for schools.
Families can use zenda to keep track of dues and make payments using a variety of pay-now and pay-later options and earn prizes for paying on time. zenda interfaces with schools using its data model and APIs (similar to zapier) to reduce last-mile reconciliation issues and delays.
“In today’s digital world, we seek low friction and immediacy – why should that not be the case for fee payments? Part of the ecosystem still runs on cash with no convenient option to pay later. Since our launch, feedback from the market and especially from our users has been terrific. Over the past months in India, we have built a pipeline of more than 1000+ institutions and are immensely grateful for their trust. It is gratifying to see the response from parents and seeing how they have embraced our service. zenda schools are witnessing a systematic increase in their collections. We have a truly outstanding team, and I feel privileged to have such a passionate group with us on this journey,”Raman Thiagarajan, CEO and founder of zenda.
Raman Thiagarajan and Haseeb Ahmed, both alumni of McKinsey & Company, founded zenda in June 2021. Raman oversaw the firm’s Financial Services Practice in the MENA area. zenda is the creators’ second start-up, and it builds on their previous ed-tech venture’s significant insights and knowledge.